Shop Talk

Retailers, consumers and prices

Check Out Line: California Pizza Kitchen cooking up deal?

April 12, 2010

cpk2Check out California Pizza Kitchen’s confirmation it is exploring its options, including a possible sale.

The 25-year-old restaurant chain, which also raised its first-quarter profit forecast, said it is weighing financial and strategic alternatives, including a sale.

California Pizza, known for its gourmet hearth-baked pizzas and creative salads, said its board authorized management to consider a variety of alternatives to enhance shareholder value and has hired investment bank Moelis & Co as its financial advisor in the review. Options could include changes in its capital structure, or a possible sale, merger or other business combination.

On Friday, a source familiar with the deal said California Pizza was seeking buyers. Private equity groups have been smelling opportunity in the casual dining sector of late, as financing becomes more accessible and consumers show more of a willingness to eat out.

Also in the basket:

Best Buy to sell Barnes & Noble’s Nook reader

Munchkin says Ontario Teachers’ Pension Plan buys stake

Hugo Boss sees 2010 profits outpacing sales

Asda CEO moving to be part-time chairman

(Reuters photo)

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